GM, this is the Milk Road.
Crypto prices are up big today, Bitcoin is up 7.2% and Ethereum is up 5.3%.
Oh, and if you listened to my “Luna Bull Case” a few weeks ago, you’d be up a fat 71% in just under a month.
Nobody knows exactly why crypto is up – but the current theory is that the financial sanctions against Russia are driving awareness of the benefits of crypto.
Alright, let's dive in to today's edition featuring:
🤑 The Degen's Den
📊 A cool dashboard you won't find anywhere else
🔍 A few things you might've missed
😂 A meme that had us laughing
The Degen's Den 🤑
I’m an old-school, keep-it-simple kinda guy.
I like my burgers hot & my beers cold.
So when it comes to crypto investing. I mostly just “buy and hold” things I think could be big over the next 10-20 years.
….but every now and then, I like to make a few degen bets.
What’s a degen bet? It’s a high-risk, high-reward bet. An educated gamble. And sometimes a completely uneducated gamble.
So this week we’re trying out a new segment: Degen’s Den.
Here’s how it works:
* we invite a smart friend to tell us what degen bets they are making
* this is not financial advice
* I repeat, this is not financial advice. If your excitement for this section lasts for more than 4 hours, please consult your doctor.
Our guest this week is Gojo
Gojo 10x’d his money in crypto in 2021. He’s a whiz at reading on-chain data to make crypto investing decisions. So I like to ask Gojo what weird shit he’s investing in, because it gives me ideas of what to go and do research on.
Now…let me hand the keyboard over to Gojo … take it away:
OK, hey everyone. Gojo here. Big fan of the Milk Road, and proud to be in the Degen Den.
My strategy is simple. My degen bets are meant to outperform Bitcoin and Ethereum over the next 5 years. I don’t peg to the USD, instead I peg my performance goals against BTC and ETH.
Now, my bets…
I’m betting on Avalanche (AVAX):
Most people hate transactions on ETH, because it’s so expensive. So, they’re in search of a blockchain with cheaper transactions.
Avalanche is cheaper and faster to use than Ethereum.
While the price of Avalanche has already gone up 9x in the past year, I’m betting on further growth from here because all of its key metrics are strong:
Total Volume Locked (TVL)
new dApps being built
Just look at this chart:
I’m bullish on the ecosystem growing, so I want serious exposure to the underlying token here.
Inside the Avalanche ecosystem, I’m betting on Platypus:
Here’s a trend I see happening again and again in crypto.
Step 1: An app gets big on Ethereum
Step 2: An Ethereum competitor launches (like Avalanche)
Step 3: Someone clones the popular app onto the Ethereum competitor
Step 4: The cloned app gets popular too
This happened for Sol – most of the top dApps are remixes of things that worked on ETH brought to Sol.
The Platypus wars are coming.
Platypus is a new protocol that could see you earn up to 100%+ APR on your stablecoin.
A few protocols (Echidna, Vector and Yield Yak) are launching on top of the Platypus platform which will create more demand for Platypus (again, I wanna own the underlying token).
One caveat here is that Platypus has high emissions and there are some private investor unlocks coming soon, which could impact the price action negatively.
I still believe that Platypus is valuable to farm your stablecoins on, in addition to the potential upwards price action.
I’m betting on 1 game on Avalanche
There’s one game that dominates Avalanche: Crabada.
In fact, 40% of the total traffic on Avalanche comes from Crabada.
In November, December and January, the game paid out over $56M in rewards to its users.
And Crabada is going to launch on a subnet too, which will make the game faster, cheaper, and generally smoother to play.
I’m loading up on CRA here.
Last move. I’m betting on Defi Kingdoms, a popular game coming to Avalanche:
DeFi Kingdoms is a Play-to-Earn game that incorporates DeFi into a game and it’s got a sh*t ton of users.
It’s the #1 gaming app on Harmony and is launching on Avalanche’s new side chain (new, own, application-specific chain on Avalanche).
JEWEL is the in-game currency and it will be used as a Gas token on Avalanche’s side chain.
JEWEL got as high as $24 per token in the past year and it’s now sitting near all-time lows at $5. You can farm with major L1/L2 tokens and get around 200% APR. It’s looking juicy here.
So, yea. I’m going heavy on Avalanche, and then the top apps on it (Platypus, Crabada & Defi Kingdoms).
My last two bets are…
I’m right there with him. I’m bullish on the decentralized stablecoin narrative and Do Kwon (the founder).
I’m also expecting to see more UST (Luna's stablecoin) being used in the Cosmos ecosystem, which I think will explode in popularity.
My moonshot is Dragon Crypto Aurum:
Dragon Crypto Aurum is my moonshot bet. A moonshot is something that will probably go to zero, but has the chance of a 1000x.
Single-digit market cap. No VC. No launch pad. Token fully in circulation. Game launching in Q1.
Those are my bets.
I’m never 100% sure about the macro market and timing, but my philosophy is to use a long-term horizon and bet on projects that I think can outperform BTC/ETH (again, this ain’t financial advice, do your own research).
Editors note: Last time we talked about Luna, a bunch of you wrote in asking for details on where to buy it. Avalanche is available on Coinbase and Binance and other major exchanges (depending on your location), Jewel is only available inside of the DeFi Kingdoms game, and Platypus, Crabada, and Dragon Crypto Aurum are available on Trader Joe.
If this was confusing to you and you wanna learn how to understand it, we’re considering doing a “DeFi for Dummies” course. Sign up for the list if you think we should do it.
Dashboard Of The Day 📊
BBC.eth for $115k
Fly.eth for $114k
UPS.eth for $142k
Mets.eth for $101k
In case you missed it 🔍
Jason Hitchcock shares his take on why betting on virtual land might not be the best idea.
Yesterday’s edition about crypto’s role in the Russia/Ukraine war was one of our highest-rated editions ever. If you missed it, you can read it here.
FTX is gonna deploy $100m into philanthropy.
KPMG Canada bought an NFT and an ENS domain … the consultants are coming 🤣
A DAO just raised $5m to buy a subway.
Today's Milk Road is brought to you by LEX 🏢
What they do: make it easy to invest in real estate
What asset class has created more millionaires than any other?
Answer: Real estate.
Today’s sponsor, LEX, has a really cool angle for investing in real estate.
LEX does an “IPO” for a building, so you can directly invest in marquee commercial real estate. You can build a portfolio of buildings you want to invest in. Each building has a ticker, just like stocks.
As a shareholder, you can get paid dividends flowing from the rent paid by the tenants. You can also earn tax advantaged passive income and trade without lockups.
Check out LEX’s live assets in New York City and upcoming IPO in Seattle.
Sign up for free here and get a $50 bonus when you deposit at least $500.
Meme of the day 😂
When I was young, getting dunked on was called getting “posterized”
Now it’s “becoming NFT’d”
Alright, hit reply or shoot us a DM on twitter with what you thought of today’s edition and the Degen's Den.
What'd you think of today's email?